Foreclosure rescue scams and how to avoid them
It all begins when a phony “foreclosure” or “mortgage” specialist contacts the homeowner through phone, direct mail or even a visit to your home. They look good, smell good and promise they can rescue your home from foreclosure in exchange for a fee that can range from as little as $400 to $1,200.
TYPES OF FORECLOSURE SCAMS:
Equity Skimming: The “buyer” pays off your mortgage or gives you a sum of money when your property is sold. “Buyer” may suggest you move out quickly. “Buyer” suggests you sign over the deed.
Phantom Help: The “rescuer” charges outrageous fees. These services are free of charge through valid HUD Counseling Agencies, like the Home Repair Resource Center in Cleveland Heights.
The Bailout: The homeowner is deceived into signing over the title with the belief that he/she can buy the home back over time.
The Bait-and-Switch: The homeowner believes he/she is signing documents to bring mortgage current; instead, he/she is surrendering ownership.
Phony Counseling Agencies: Homeowners receiving false letters in the mail or phone calls that offer a quick fix for a fee.
The Home Repair Resource Center is a certified HUD Counseling Agency and has a dedicated foreclosure counselor who has successfully helped Cleveland Heights residents save their home from foreclosure. Please feel free to contact us at 216-381-6100.
Kimberly Dominique is a foreclosure specialist the Home Repair Resource Center.